ATTACHMENT_III_-_CBA-2017-9844_WD.pdf

REGISTER OF WAGE DETERMINATION UNDER | U.S. DEPARTMENT OF LABOR

THE SERVICE CONTRACT ACT |EMPLOYMENT STANDARDS ADMINISTRATION

By direction of the Secretary | WAGE AND HOUR DIVISION of Labor | WASHINGTON D.C. 20210 | Wage Determination No.: CBA-2017-9844

Diane Koplewski Division of | Revision No.: 0 Director Wage Determinations| Date Of Last Revision: 4/4/2017 State: California

Area: San Diego

Employed on Defense Logistics Agency - Energy contract for Alongside Aircraft Refueling Services.

Collective Bargaining Agreement between contractor: LB&B Associates, Inc., and union:

International Association of Mashinists and Aerospace Workers Local lodge 11, effective 11/30/2015 through 11/30/2018.

In accordance with Section 2(a) and 4(c) of the Service Contract Act, as amended, employees employed by the contractor(s) in performing services covered by the Collective Bargaining Agreement(s) are to be paid wage rates and fringe benefits set forth in the current collective bargaining agreement and modified extension agreement(s).

Attachment III - COLLECTIVE BARGAINING

AGREEMENT AND WAGE DETERMINATION

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Attachment III - COLLECTIVE BARGAINING

AGREEMENT AND WAGE DETERMINATION

Collective Bargaining Agreement

Between

And

International Association of Machinists and

Aerospace Workers

Local Lodge 1125, District Lodge 725

NAS North Island, NOLF Imperial Beach

& San Clemente Island, CA

Effective November 30, 2015 through November 30, 2018

Article 1

Article 2

Article 3

Artide4

Article 5

Article 6

Article 7

Article 8

Article 9

Article 10

Article 11

Article 12

Article 13

Article 14

Article 15

Article 16

Article 17

Article 18

Article 19

Article 20

Article 21

Article 22

Article 23

Article 24

Article 25

Article 26

Article 27

Appendix A

Table of Contents

PREAMBLE

INTENT AND PURPOSE

RECOGNITION

BARGAINING UNIT

UNION SECURITY /DUES CHECKOFF

MANAGEMENT RIGHTS RESERVED

HOURS OF WORK AND OVERTIME

HOLIDAYS

VACATIONS

SENIORITY/JOB VACANCIES

BEREAVEMENT LEAVE

DISCIPLINE/WARNING NOTICES

GRIEVANCE PROCEDURE AND ARBITRATION

WAGES AND JOB CLASSIFICATIONS

BENEFIT PACKAGE/HEALTH AND WELFARE/SICK LEAVE

NO STRIKES/NO LOCKOUTS

BULLETIN BOARDS

VISITATION RIGHTS

GENERAL PROVISIONS

LEAVE OF ABSENCE

SHOP STEWARDS

MAINTENANCE OF PRIVELEGES

SCOPE OF AGREEMENT

NON-DISCRIMINATION

SAFETY RULES

SAVINGS CLAUSE

JURY DUTY

DURATION

SENIORITY UST

PREAMBLE

This Agreement entered into this 24th day of November, 2015 by and between

-(hereinafter referred to as the "Company") and the International Association of Machinists and Aerospace Workers, District Lodge 725 and Local Lodge 1125, (hereinafter referred to as the

"Union") with respect to the work performed at NAS North Island, NOLF Imperial Beach and San

Clemente Island, California.

ARTICLE 1

INTENT AND PURPOSE

Section 1. In setting forth certain provision pertaining to wages, hours of work and working conditions, the Company and the Union have agreed to cooperate in establishing and maintaining a harmonious relationship and have provided procedures for the peaceful settlement of all grievances that may arise under this Agreement.

Section 1.

ARTICLE 2

RECOGNITION

The Company herein recognizes the Union as the sole and exclusive bargaining agent for the purpose of collective bargaining with respect to rates of pay, wages, hours of employment, and other conditions pertaining to employment for all of the employees in the bargaining unit hereinafter set forth.

Section 2. In the event the Company introduces new work which the Union believes does not fall within the existing classification, the Company and the Union shall, upon written request, enter into negotiations for the necessary classification of work and shall agree on the wage scale applicable thereto. If no agreement is reached, the dispute shall be referred to arbitration as provided in the Grievance Procedure. Pending final settlement of the proper rate for the new work, the work shall be performed at the rate of pay established by the Company. When a permanent rate is established, it shall become effective on the date the work was first performed on the site.

Section 3. The Union and the employees recognize that they are not to interfere in the relationship between the Company and the Customer.

ARTICLE 3

BARGAINING UNIT

Section 1. The bargaining unit shall consist of all full-time drivers, fuel distribution system operators, aircraft service rs and dispatchers employed by the Employer at its operations located at Naval Air Station (NAS) North Island, San Diego, California, Naval Outlying Facility (NOLF) Imperial Beach, Imperial Beach, California, and Naval Auxiliary Landing Field (NALF) San Clemente Island, Los Angeles, California, as described in NLRB Case 21-RC-142723, excluding all other employees, office clerical employees, managerial employees, guards and supervisors as defined by the Act.

ARTICLE4

UNION SECURITY/DUES CHECKOFF

Section 1. The Company shall deduct each pay period one-half (1/2) of the monthly membership dues and/or initiation fee from the earnings of the employees, who have so authorized in writing, and remit same to the· Union. Such authorization shall conform to applicable State and Federal laws to be valid.

Section 2. The Company shall notify the Union of all job openings within the bargaining unit covered by this Agreement. The Union may refer applicants for such openings. In interviewing and hiring for such job openings, the Company will not discriminate against any applicant referred by the Union. The Employer shall be the judge of the qualifications of its employees and applicants.

Section 3. When the employee is hired, the Company will notify the employee of this contract. Within ten (10) calendar days following the date of hire, the Company shall notify the

Union in writing of the name, date of hire, classification, rate of pay, and address the newly hired employee.

Section 4. In the application of this Article, when the Employer is notified by the union in writing than an employee who has joined the Union is not a member in good standing by failing to tender the Union dues, the Company shall, within fifteen (15) working days, terminate such employee.

Section 5. The Union agrees to and will hold the Company harmless and will indemnify the

Company from any and all claims that may be asserted as a result of the enforcement of this

Article of the Agreement.

ARTICLE 5

MANAGEMENT RIGHTS RESERVED

Section 1. The Employer reserves and retains, solely and exclusively, all of its inherent rights to manage the business. The Employer alone shall have the full and exclusive authority to determine and direct the policies, procedures, and methods of operating its business. Without limiting the generality of the foregoing, the sole and exclusive rights of management include, but are not confined to, the right to determine, and from time to time, to re-determine the number, types, and locations of its operation and the methods, equipment, and processes to be employed;

to discontinue or automate methods, equipment, processes or operations; the right to determine the qualifications for new employees, and to select its employees; to determine the size and composition of its workforce; to determine production and work schedules and methods of work and production; to determine the number and type of equipment, machinery, materials and supplies to be used or operated and the products to be manufactured, processed or sold or the services to be rendered or supplied; to hire, promote, transfer, assign, layoff for lack of work, and recall employees to work; to reprimand, terminate, or otherwise discipline employees for just cause; to determine the amount and types of work needed; to determine and make the assignments of work; to schedule the hours and days to be worked on each job in each shift; to discontinue, transfer, or assign all or any part of its business operations; to expand, reduce, alter, combine, transfer, assign or to control and regulate or discontinue the use of supplies, equipment, machinery and process and any other property owned, used, leased, or possessed by the Employer, to establish, modify and enforce reasonable house rules or regulation, policies, and practices; to introduce new, different or improved methods, means and processes or transportation, production, maintenance, service and operation; and otherwise, generally to manage the facility and direct the workforce; the Employer's failure to exercise any fluctuation or right, nor to preclude the Employer from exercising the same, in some other way not in conflict with the express provisions of this contract.

Section 2. The above enumerated rights of management are not all inclusive, but indicate the types of matter which belong to and are retained by the Employer.

Section 3. Except as specifically abridged, delegated, granted or modified by this contract, or by any supplementary contracts that may be made hereinafter, all of the rights, powers and authority of the Employer existing prior to the signing of the contract are retained by the

Employer and remain exclusively and without limitation with the rights of management.

ARTICLE 6

HOURS OF WORK AND OVERTIME

Section 1. The provisions of this Article are intended only to provide a basis for determining the number of hours of work for which an employee shall be entitled to be paid at overtime rates and shall not be construed as a guarantee to such employee of any specified number of hours of work either per day or per week, or as limiting the right of the Company to determine and fix work schedules and to require such employees to work any specified number of hours either per day or per week. A normal shift shall consist of eight (8) consecutive hours. This shall constitute a normal workday for full-time regular employees as defined.

Section Z Regularly scheduled full-time employees shall have a fixed starting time. When an employee is required to work on a shift other than his regularly scheduled shift, he shall be given at least twenty-four (24) hours notice of such assignment, except in cases of emergency, unforeseen circumstances, or upon the direction of the government if necessary to meet contract requirements, or by mutual consent. The shifts will be defined by their starting times in the following windows:

Section 3.

First Shift: Beginning 4:30 am to 11:29 am

Second Shift: Beginning 11:30 am to 7:29 pm

Third Shift: Beginning 7:30 pm to 4:29 am.

All work performed in excess of eight (8) hours in a day up to and including twelve

(12) hours in any workday, and for the first eight hours worked on the seventh consecutive day of work in a workweek, or in excess of forty (40) hours in a workweek shall be compensated at one and one-half (1 ½) times the regular established pay rate. All work performed in excess of twelve (12) hours in any workday and for all hours worked in excess of eight (8) hours on the seventh consecutive day of work in a workweek shall be compensated at two (2) times the regular established pay rate. With the agreement of the Union and the affected employees, the Employer may institute a ten (10) hour, four (4) day workweek schedule. In this instance, all work performed in excess of ten (10) hours in a day or in excess of forty (40) hours in a workweek shall be compensated at one and one-half (1 ½) times the regular established pay rate. Such hours paid at a premium rate over eight (8) hours per day, orten (10) hours per day where appropriate, will not be used to satisfy time worked for any employee to qualify for premium pay under other provisions of this Agreement.

Section 4. Overtime work will first be offered on a voluntary basis. If there remains an insufficient number of volunteers to meet the work demands, the overtime will be assigned by inverse seniority in the affected job classification. Such an assignment is mandatory. The

Company shall divide all overtime work as equitably as practical to all employees qualified to perform the required work. Familiarity and assignment will be taken into consideration when voluntary assignment is necessary.

Section 5. Eight (8) hours must elapse between any two (2) regularly scheduled shifts. Should a period of eight (8) hours not elapse between the end of any one (1) regularly scheduled shift and the beginning of the next regularly scheduled shift, then overtime wages of one and one-half

(1 ½) times the regular rate of pay shall prevail for the hours worked outside the employees regularly scheduled shift. Such hours paid at a premium will not be used to satisfy time worked for any employee to qualify for premium pay under the provisions of this Agreement.

Section 6. When an employee is called into work outside of his regular established schedule, he shall receive not less than four (4) hours pay for each call-in. In the case that an employee is called in for a mandatory meeting, the employee will be paid a minimiam of two (2) hours.

Section 7. The Company will follow its established practice of paying an injured employee to the end of the day the injury occurred if such employee has to leave the site to obtain medical treatment and cannot return.

Section 8. When, upon medical release and return to work, there is a bona fide recurrence of the injury on the job and an authorized representative of management acting on the recommendation of a Doctor excuses the employee from work, he shall be paid for the balance of the shift.

Section 9. When a celebrated holiday falls within an employee's normal workweek, he shall be paid at one and one half (11/2) times his regular rate of pay. In addition to this wage, the employee shall be paid holiday pay as outlined in this Agreement.

Section 10. All paid leave time for vacation and holidays is considered as time worked under this Agreement.

ARTICLE 7

HOLIDAYS

Section 1. Employees who have completed their probationary period shall be eligible for

Holiday Pay if they are regularly scheduled to work any of the following holidays:

New Year's Day Labor Day

Birthday of Martin Luther King, Jr. Columbus Day

Presidents Day Veterans Day

Memorial Day Thanksgiving Day

Independence Day Christmas Day

Floating Holiday (1)

Section 2. Employees will be paid their normal scheduled hours at their normal straight time hourly rate for holidays not worked. Employees required to work on a holiday shall receive one and one half (1 ½) times their straight time hourly rate for hours worked.

Section 3. If a holiday occurs during an employee's vacation, the employee will receive holiday pay and not be charged a vacation day. For the purpose of this Agreement, when any one of the aforementioned holidays falls on a Saturday, the preceding Friday will be observed as the holiday. When any one of the aforementioned holidays falls on a Sunday, the following Monday will be observed as the holiday.

ARTICLE 8

VACATIONS/ SICK TIME

Section 1. A full-time employee who shall have attained the years of continuous service specified in the following table, shall receive a regular vacation corresponding to such years of continuous service with vacation pay as shown in the following table:

Years of Service Entitlement

One (1) year of service Ten (10) days

Five (5) years of service Fifteen ( 15) days

Ten (10) years of service Twenty (20) days

Section 2. Employees who retire or voluntarily resign with a minimum of two (2) weeks' notice shall be entitled to pay for any unused earned vacation.

Section 3.

Section 4.

Employees will receive a block grant of vacation time on their service date.

In the case of the death of an employee, the Company shall pay all earned and unused vacation time due him to the surviving spouse. If there is not a surviving spouse, the vacation pay shall be paid directly to his estate.

Section 5. Sick Time: All employees will receive sixty (60) hours of sick time on each year on their anniversary date. An employee with unused sick time leave available will continue to accumulate such sick time leave from year to year, up to a maximum of one hundred and twenty (120) hours.

Sick time may be utilized for sickness, medical appointment, or personal reasons in minimum increments of one-tenth (1/lOth ) hour. When an employee desires to use sick time for reasons other than illness, such time off must be requested in advance, insofar as possible. Sick time will be paid out upon separation from the company and during contract turnover.

Section 1.

ARTICLE 9

SENIORITY/JOB VACANCIES

An employee's seniority is defined as his length of continuous service as an employee within the bargaining unit in the classification provided for in this Agreement. It shall be applied as follows (current and predecessor companies):

Section 2. An employee will be considered to be in their probationary period for the first ninety (90) calendar days of their employment. The Company, upon written notice, may extend the probationary period for another thirty (30) calendar days; such written notice to be given to the employee and the Union. Once an employee completes their probationary period, their seniority shall be retroactive to their most recent date of hire with the Company. An employees may be terminated or disciplined at any time during their probationary period and such termination or discipline shall not be subject to the grievance procedures of this contract.

Section 3. In the event that work becomes slack and the Company deems it necessary to reduce the working force in any of the classifications, the employee with the least seniority in the classification shall be the first employee laid off. It is provided, however, that if such employees has worked with the Company in a lower classification, he may, at his option, in lieu of layoff, exercise his total seniority in said lower classification plus any seniority accumulated in the higher classification for the purpose of bumping the employee with the least seniority in the lower classification. Employees bumping into a lower classification will be paid at the wage rate of the lower classification.

Section 4. In rehiring and recalling, reversing the above procedure will be used.

Section 5. An employee so reduced in classification due to curtailment of employment shall have the first opportunity to resume his higher classification when his former job is available in line with his seniority.

Section 6. Employees who exercise their option to bump an employee because of seniority during a layoff must be technically qualified and competent to perform the work in the new qualification and willing to take the rate of pay of the classification into which they are bumping.

The final determination as to the technical qualification will be made by the LB&B Associates' manager. The right to bump due to seniority can be made only once per layoff.

Section 7. In case of a layoff of one (1) week or more in job classifications, the employee with the least seniority shall be laid off first, provided that the employees remaining in the respective classifications(s) have at least the same qualifications, employment records and abilities to do the work in a satisfactory manner and time. In recall back to work, the employee with the most seniority shall be recalled first, provided the same conditions shown above are met.

Section 8. The Employer will comply with the Worker's Adjustment and Retraining Notification

Act (WARN Act). In essence, the WARN Act requires that an Employer give an employee and the

Union sixty (60) days' notice in the event of a plant closing and/or mass layoff.

In the event that a layoff of at least five (5) or more working days involves one (1) or more full time employees, the Employer will give the full-time employee up to seven (7) days' notice if the

Employer has sufficient notice from its customers. If the notice is not given, the full-time employee will be paid one (1) day for each day short of the seven (7) days' notice. If the Company does not receive sufficient notice from its customer, provisions of this section will not apply.

Section 9. Shop Stewards shall be the last laid off provided they are qualified to perform the available work. The Employer shall be the sole determiner of the Stewards' qualifications.

Section 10. When vacancies occur in any job classification covered by this Agreement, the

Company shall post notices of such vacancies for a period of at least five (5) calendar days. The

Company shall give full consideration to qualified employees within the bargaining unit who have signed said posted notice and not discourage said qualified employees before hiring an outside applicant.

Section 11. Job vacancies, once posted, shall be filled on the basis of an employee's qualifications, abilities, and employment record. Qualifications, abilities and employment record being equal, the employee with more seniority shall be given preference for the position. The

Company shall be the sole judge of the qualifications of the employees and applicants for employment. This Section of this Agreement shall not be subject to Arbitration under the grievance procedure.

Section 12. An employee shall lose his seniority and his continuous employment shall be broken for any of the following reasons:

a. Resignation.

b. Discharge for just cause.

c. Layoff or absence due to injury. For all employees employed by LB&B Associates for one (1) year or greater, absence from work one (1) year. For employees employed by

LB&B Associates for less than one (1) year, absence from work for four (4) weeks. This is true provided that the employee was not terminated (by LB&B Associates or others) or laid off by previous companies/parties to government contract.

d. Failure to return to work at the expiration of a leave of absence.

e. Failure to return to work within ten (10) days after being recalled from layoff unless excused by the Company.

f. Absence of three (3) consecutive workdays without reporting to the Company.

Section 13. Any employee transferred or promoted to a position which is outside the bargaining unit shall be credited for seniority purposes with his seniority at the time of his promotion out of the bargaining unit, such credit to remain in effect for a period of not to exceed one (1) year. However, the employee shall not accrue seniority credit while outside the bargaining unit.

Section 14. A bargaining unit employee who bids and is promoted or transferred and who fails to satisfactorily perform the duties of the new job within a period of up to thirty (30) work days, unless extended by mutual written agreement of the parties, will be returned to the classification last held prior to the award of such promotion, provided the classification has not been abolished.

Section 15. Both the Company and the Union recognize employees due to domestic reasons, health, child and elder care, or for other reasons may desire transfer to another shift. Employees desiring transfer to another shift will submit their request in writing to their supervisor. The supervisor will respond to the employee's request in writing within ten (10) working days. If there are no new employees on the shift desired that will expedite the process, the employee will be transferred to the shift they are requesting provided their seniority is greater than that of the employee they are displacing. The shifts shall be posted and remain constant. Employees may request a change as stated above. Once an employee changes shifts that employee will not be eligible to request a change for a minimum of six (6) months. Employees will be given the opportunity to bid for any vacancies that occur because of resignation, promotion, etc. using the procedures listed in Section 10 of this article.

ARTICLE 10

BEREAVEMENT LEAVE

Section 1. Employees covered by this Agreement shall be granted three (3) days off following a death in the employee's immediate family, provided the employee attends the funeral/service one of the three days. The employee shall be paid his regular straight time pay for any of the three (3) days he was scheduled to work. The immediate family shall be construed to mean one of the following: spouse, child, parent, brother, sister, mother-in-law, father-in-law, brother-in-law, sister-in-law, grandchild and grandparent. Additional time off without pay will be granted for necessary time to travel to distant states for funeral services.

Section 1.

ARTICLE 11

DISCIPLINE/WARNING NOTICES

The Company shall have the right to maintain the discipline and efficiency of its operations. The Company may only discipline or terminate employees for just cause.

Section 2. An employee may be terminated or disciplined at any time during their probationary period and such discipline or termination shall not be subject to the grievance procedure of this Agreement.

Section 3. Written disciplinary actions (notices of verbal counseling, written warnings, suspensions and terminations} issued to an employee must specify the events or actions for which the notice is issued.

Section 4. Notices of verbal counseling and written warnings shall not be used as a basis for progressive discipline after a period of one (1) year from date of issuance and will remain in the employee's personnel file.

ARTICLE 12

GRIEVANCE PROCEDURE AND ARBITRATION

Section 1. A grievance is defined as a dispute, difference, disagreement or complaint between the parties related to the intent or application of the provisions of this Agreement. All grievances shall be settled in accordance with the following grievance procedure:

Section 2. Procedure:

a. Step 1: Within five (5) working days of an incident or event giving rise to a grievance, the Shop

Steward must discuss the grievance with the Supervisor in order to initiate the grievance. The employee may accompany his Steward, if he so desires. The Company shall render a decision within five (5) working days after the conclusion of the Step I hearing.

i. Appeal: If the Union wishes to appeal, it must appeal a denied grievance to Step II within five (5) working days after the receipt or non-receipt of the Company's decision. Such appeal shall be in writing to the Supervisor or department head of the Company's operation at the facility.

ii. The written grievance shall contain the following:

(a) The section(s) of this Agreement involved;

(b) The manner in which the Agreement has been involved;

(c) The relief that is being sought, and;

(d) The signature of the grievant(s) and steward or other Union representative.

b. Step 2: The Shop Steward or Union Representative shall represent the employee. The

Supervisor or department head shall meet with the Steward or Union Representative within five (5) working days of receipt of the written grievance. A decision by the Company shall be rendered within seven (7) working days.

i. Appeal: The Union may appeal a Step II grievance to Step Ill within ten (10) working days of the receipt or non-receipt of the Step II decision.

c. Step 3: The Union Business Representative shall meet to discuss the grievance with the

Company's Corporate Representative as expeditiously as possible. A decision by the Company shall be rendered within seven (7) working days.

i. Appeal: The Union may appeal a denied Step Ill grievance to Arbitration within ten (10) working days of the receipt or non-receipt of the Company's decision.

d. Step 4 Arbitration: In the event that the Union or the Company elects to arbitrate the grievance, it shall be heard by an arbitrator to be designated by mutual agreement of the

Company and the Union.

i. In the event the parties fail to mutually agree upon an arbitrator, either party may move to arbitration through the rules of arbitration as provided by the American Arbitration

Association.

ii. The arbitrator's decision shall be final and binding on all parties concerned. Any compensation required to be paid to the arbitrator shall be borne equally by the parties.

iii. The arbitrator shall have jurisdiction and authority to apply, interpret and determine compliance with the terms of this Agreement but in no case add to, deviate from, detract or alter in any way the provisions of this Agreement. The decision of the arbitrator shall be confined to the matter submitted to him for arbitration.

Section 3. General Rules:

A. Time limits may be extended by mutual agreement.

B. In the event the Union or that Company has a grievance, the grievance shall be processed directly into Step 3.

C. Grievances regarding alleged improper discharge or layoff must be filed within five (S) working days after such discharge or layoff and shall be heard commencing with Step 3.

ARTICLE 13

WAGES AND JOB CLASSIFICATIONS

Section 1.

Agreement:

The following minimum hourly rates of pay shall prevail during the term of this

Classification Current 1/1/2016 1/1/2017 1/1/2018 Rate 7% 2% 2%

Dispatcher $23.58 $25.23 $25.74 $26.25 Fuel Distribution Systems $21.35 $22.84 $23.30 $23.77 Operator

Driver/Operator $20.85 $22.31 $22.76 $23.21 Aircraft Servicer $21.08 $22.56 $23.01 $23.47

No employee will suffer a reduction in wages as a result of this agreement.

Section 2. All full-time employees shall be classified in one (1) of the job classifications listed above based upon which classification each employee expends eighty percent (80%) of his time.

Employees may be called upon to perform other duties as work requires or the Company deems necessary, but the employee shall not be paid less than his regular rate. The manning needs of any classification not covered by this Agreement shall be determined solely by the Company.

Section 3. When an employee in any of the classifications in the Agreement is temporarily assigned to a higher classification of work, he shall receive pay at the higher rate for actual hours worked; provided, that employees worked a minimum of two (2) consecutive hours in the higher classification.

Section 4. All full time employees assigned to second shift will receive $0.50 shift differential per hour for all hours paid. All full time employees assigned to third shift will receive $0.75 shift differential per hour for all hours paid.

Section 5. All full time employees assigned to work on San Clemente Island shall receive per diem in the amount allowable for Meals & Incidental Expenses under IRS non-taxable rates while assigned to San Clemente Island.

Section 6. The Company agrees to pay for all required re-certifications.

ARTICLE 14

BENEFIT PACKAGE/HEALTH & WELFARE/SICK LEAVE

Section 1. Group Medical & Dental Insurance

Effective January 1, 2016 LB&B Associates and IAMAW District Lodge 725 have agreed to cover bargaining unit employees with a health and welfare plan of benefits obtained through the Labor Management Universal Health Benefits Trust Fund, referred to as the "Trust Fund", administered by Morgan & Franz. The Trust Fund will provide HMO medical, dental and vision coverage for each eligible employee and their eligible dependents as described in the Summary Plan booklets.

Should there be a significant change in the plan benefits or rise in the rates the Company and the Union will meet to bargain any resulting issues. Employees may elect to waive participation in the Union sponsored program provided the employee shows proof of group medical coverage through some other provider in order to be eligible for this option. The waiver eliminates their option to participate in all coverage. Employees who waive coverage will receive the amount listed below as cash in lieu.

a. New hires will be eligible to participate in the group medical/dental program effective the first day of the month following the date of employment.

b. Employee contribution for Trust Fund health and welfare benefit outlines in the summary of coverage document effective will be semi-monthly as follows:

Kaiser $20 Office Visit, $10 / $25 Rx, $100 Emergency Room, 100% Hospitalization

Type of Effective

Coverage 1/1/2016

Per Pay Period Total Per Month

Single $244.50 $489.00

2-Party $476.50 $953.00

Family $708.00 $1417.00

Dental Rates

Single 2-Party Family per pay Total per per pay Total per per pay Total per period month period month period month

Liberty LDP-200 $9.00 $18.00 $15.50 $31.00 $21.50 $43.00

Vision Rates

Single 2-Party Family

Per pay Total per Per pay Total per Per pay Total per period month period month period month

VSP $10 Exam $25 $3.00 $6.00 $5.00 $10.00 $7.50 $15.00 Material Co-Pay

Exam-12 months/Frames & Lenses 24 months

VSP $10 Exam $25 $4.00 $8.00 $7.00 $14.00 $11.00 $22.00 Material Co-Pay Exam, Frames & Lenses 12 months

Term Life & Accidental Death & Per pay period Total per month Dismemberment

Provided through AETNA Life Insurance

$10,000 $2.00 $4.00

$15,000 $2.75 $5.50

$20,000 $3.50 $7.00

$25,000 $4.25 $8.50

$35,000 $5.50 $11.00

The Company agrees to contribute the amounts listed below per hour paid up to a maximum of forty {40) hours per week toward elected voluntary benefits (medical/vision, life insurance and/or dental) provided by the Trust Fund for all full-time employees and their legal dependents.

1/1/2016 1/1/2017 1/1/2018

$4.27 $4.52 $4.82

The insurance benefits will be in accordance with the Trust Fund, established insurance contracts and plans are subject to change when the Trust Fund deems necessary.

In the event that the Plan cost exceeds the Health and Welfare contribution rate as stated above, the Company shall have the right to, and will, deduct from the wages of each employee an amount equal to the difference between the Health and Welfare contribution and the Plan cost.

Should an Employee's applicable benefit amount be in excess of the cost of these insurance benefits, the Employee's residual will be deposited in his/her own 401(k) account set up by the

Company on behalf of the affected Employee, subject to the applicable regulations under the

Internal Revenue Code.

In addition, Employees in the bargaining unit, regardless of their benefit elections, may contribute pre-tax dollars through payroll deductions to their individual 401(k) plan up to the maximum of the IRS Regulations. It is agreed that the Company will not match any 401(k) contributions.

Section 2.

a. The Company shall contribute to the I.A.M. National Pension Fund, National Pension Plan for each day/hour or portion thereof to a maximum of forty (40) hours per work week for which employees in all job classifications covered by this Agreement are entitled to receive pay under this Agreement as follows:

$1.00 per hour effective January 1, 2016

$1.05 per hour effective January 1, 2017

$1.10 per hour effective January 1, 2018

b. The Company shall continue contributions based on a forty (40) hour workweek while an employee is off work in pay status due to paid vacations or paid holidays or other time off with pay. The Employer shall also make contributions whenever an employee receives severance pay.

c. Contributions for a new, temporary, probationary, part-time and full-time employee shall be payable from the first day of employment.

d. The I.A.M. Lodge and Company adopt and agree to be bound by, and hereby assent to, the Trust Agreement, dated May 1, 1960, as amended, creating the I .A.M. National Pension Fund and the Plan rules adopted by the Trustees of the I.A.M. National Pension Fund in establishing and administering the foregoing Plan pursuant to the said Trust Agreement, as currently in effect and as the Trust and Plan may be amended from time to time.

e. The parties acknowledge that the Trustees of the I.A.M. National Pension Fund may terminate the participation of the employees and shall terminate the participation of the Company in the Plan if the successor collective bargaining agreement fails to renew the provisions of this pension Article or reduces the Contribution Rate. The parties may increase the Contribution Rate and/or add job classifications or categories of hours for which contributions are payable. The Union and the Company acknowledge and agree that the I.A.M. National Pension Fund National Pension Plan requested the Pension Benefit Guaranty Corporation to approve a plan amendment providing for special withdrawal liability for all Service Contract Act employees that maintain the I.A.M. Fund, and that Pension Benefit Guaranty Corporation approved the requested amendment. See Section 4203(f) of ERISA and Federa I Register/Vol. 79, No. 153/August 8, 2013.

f. This Article contains the entire Agreement between the parties regarding pension and retirement under this Plan and any contrary provisions in this Agreement shall be void.

No oral or written modification of this Agreement shall be binding upon the Trustees of the I.A.M. National Pension Fund. No grievance procedure, settlement or arbitration decision with respect to the obligation to contribute shall be binding upon the Trustees of the Pension Fund.

ARTICLE 15

NO STRIKES/NO LOCKOUTS

Section 1. The Union agrees that it shall not engage in, authorize or recognize any strikes, picketing or other interruption of the Company's normal operations during the term of this

Agreement. The Company agrees that it shall not lock out the employees during the term of this

Agreement.

Notwithstanding the provisions of this Agreement, any party aggrieved by a violation shall have the right to seek a remedy for such violation before the National Labor Relations Board or a Court of competent jurisdiction.

Section 1.

ARTICLE 16

BULLETIN BOARDS

The Company shall provide bulletin boards in a satisfactory place for posting by the Union of notices. Notices will be restricted to notices to members of Union meetings, activities, elections and results of elections. No material of an inflammatory or derogatory nature will be posted. All other notices shall be subject to review and approval of the Company before posting.

ARTICLE 17

UNION ACCESS

Accredited representatives of the Union shall have the maximum access permissible under applicable security regulations to the appropriate areas of the base during working hours for the purpose of conducting Union business pertaining to the provisions of this Agreement. It is understood that all arrangements for visits of the accredited representatives of the Union to the

Company's facility shall be made through the Company's Site Manager.

ARTICLE 18

GENERAL PROVISIONS

Section 1. The Company agrees that it will not discriminate against any employee because of his membership or activity in the Union

Section 2. The Company shall furnish all special tools and equipment necessary for the performance of work and all such equipment shall be in safe working order. Special tools and equipment shall include, but not be limited to, flashlights, batteries, gloves, power and pneumatic tools.

Section 3. The Company shall furnish rain gear for each employee covered by this Agreement with the exception of dispatchers. This rain gear shall consist of rain coat and rain pants.

Section 4. The Company shall provide all employees with an annual allowance, or as needed due to excessive wear and tear, of two hundred ($200) with which to defray the cost of safety shoes. Dispatchers are the only classification excluded from this provision. This allowance is applied on a contract year basis. Reimbursement for safety shoes is contingent on the employee's purchase being in compliance with ANSI standards.

Section 5. Uniforms will be provided by the Company without cost to the employees and shall be worn or utilized by the employees in the performance of their job tasks. The Employer will provide a uniform service company that will maintain the uniforms at no cost the employees.

Section 6. There shall be no deduction from employee's pay covered by the Agreement except as provided in this Agreement or as required and in the manner prescribed by law or as mutually agreed to by the Company and the Union and as authorized in writing by an employee.

Section 7. Employees shall be paid semi-monthly. There shall be no unreasonable delay in the payment of wages on payday. If the payday falls on a Saturday, Sunday or recognized holiday, the last workday preceding shall be considered as payday.

Section 8. Within ninety (90) days subsequent to the signing of this Agreement, the Company shall furnish the Union with a seniority list covering all employees within the bargaining unit listing their names, classifications and status (active, leave of absence, layoff, etc.).

Section 9. When the Company is requested in writing by the Union, it shall furnish a revised up-to-date seniority list.

ARTICLE 19

LEAVE OF ABSENCE

Section 1. All employees with one (1) year of service who have worked 1250 hours shall be covered under the provisions of the Family Medical Leave Act (FMLA).

ARTICLE 20

SHOP STEWARDS

Section 1. The Company recognizes the right of the Union to designate Shop Stewards from the Company's seniority list. The authority of the Shop Stewards so designated by the Union shall be limited to and shall not exceed the following duties and activities:

A. The investigation and presentation of grievances to the Company or the designated

Company representative in accordance with the provision of the Labor Agreement.

B. The transmission of such messages and information which shall originate with and are authorized by the Union, or its Officers, provided such messages and information have:

Section 2.

1. Been reduced to writing, or

2. If not reduced to writing, are of a rqutine nature and do not involve work stoppages, slowdowns, refusals to handle goods or any other interference with the Company's business.

The Shop Stewards shall be permitted adequate time to investigate, present and process grievances on the Company's property. A Steward, with permission of his supervisor, will be afforded up to two (2) hours of pay per week to investigate or process a stated grievance on-site; provided however, there shall be no disruption of the operations of the Company. A

Steward desiring to investigate or adjust a grievance during regular working hours shall report to and request permission from his supervisor. Upon completion of the investigating or processing of the grievance, the steward shall promptly report to the supervisor that he is returning to work.

The Shop Stewards will only be paid by the Company for time spent handling grievances during regular hours of work.

ARTICLE 21

MAINTENANCE OF PRIVILEGES

Section 1. It is agreed that any and all privileges enjoyed by the employees while employed by LB&B shall not be denied to them because of the signing of this Agreement unless specifically altered or deleted herein. Such privileges shall be continued to be enjoyed by the employees during the term of this Agreement.

Section 2. Should any conflict arise between the Collective Bargaining Agreement (CBA) and the Employee Manual/Handbook, the CBA will take precedence. All other policies in effect at the signing of this CBA that are not modified or amended by the CBA will remain in effect.

ARTICLE 22

SCOPE OF AGREEMMENT

Section 1. This Agreement shall inure to the benefit of and shall be binding on the heirs, executors and administrators of the parties hereto. The provisions of this Agreement shall be binding on the Company by whatever name it may trade under, and all the terms and obligations herein shall not be affected or changed in any respect by such name change or changed in any respect by any change in the legal status or management of the Company. The Company shall give notice of the existence of this Agreement to any purchaser, transferor or lessee, assignee, etc., of the operation covered by this Agreement or any part thereof. Such notice shall be in writing with a copy to the Union at the same time as the seller, transferor or lessor executes a contract of transaction as herein described.

Section 2. The Employer and Union acknowledge that this Agreement, which shall supersede any and all prior understandings and practices whether oral or written, constitutes the sole and entire agreement between the parties and expresses all obligations and restrictions imposed on each of the respective parties during its term; however, this Agreement may be amended in writing by mutual agreement at any time.

Section 1.

ARTICLE 23

NON-DISCRIMINATION

The Company and the Union agree to observe all applicable Federal and State laws regarding non-discrimination against any employee or applicant for the employment because of race, handicap, color, religion, orrgin, age, sexual orientation, gender identity, genetic information, veteran status or sex.

Section 2. The use of personal pronouns of the masculine gender is for grammatical purposes only, and the terms of the Agreement shall apply equally to persons of either sex.

ARTICLE 24

SAFETY RULES

Section 1, In the interest of maintaining high standards of safety and to minimize industrial accidents and illness, the following is agreed:

A. The Company will comply with all State and Federal safety sanitary laws. Suitable washrooms and lockers shall be maintained and kept in clean and sanitary condition

B. Adequate Personal Protective Equipment (PPE) shall be provided by the Company and when such PPE is furnished, it shall be mandatory for employees to use it.

C. No employee shall be discharged or disciplined for refusing to work on a job outside of his normal duties if his refusal is based upon the claim that said job is not safe or might unduly endanger his health until it has been determined by the Safety Officer at NAS North Island, NOLF Imperial Beach or NALF San Clemente Island that the job is, or has been made, safe or will not unduly endanger his health.

D. If the Company has a safety program and requires an employee to wear safety glasses, the Company shall provide standard safety frames and non-prescription lenses. It is mandatory that the employee wear them provided that the condition of his eyes is such that he does not require prescription glasses. Where an employee requires prescription safety glasses, he shall provide the prescription and the Company will pay the cost of the standard safety frames and the safety lenses ground to his prescription. The full cost of the replacement frames and lenses due to work accidents shall be borne by the Company.

E. Employees shall be fully instructed in the safe operation of Company equipment with documented safety training on said equipment.

F. Heat and ventilation shall be provided where practical.

G. The Company will provide annual hearing tests for all employees covered by this Agreement who work on the flight line high noise areas.

H. The Company affirms its willingness at all times to receive and consider all constructive complaints, suggestions or recommendations of the employees with reference to matters affecting safety, sanitation and health, and improvements in productivity and the general welfare of the employees and Company.

ARTICLE 25

SAVINGS CLAUSE

Section 1. In the event that any federal or state legislation, governmental regulations or court decisions cause invalidation of any article or section of this Agreement, all other articles and sections not so invalidated shall remain in full force and effect.

Section 2. Within thirty (30) calendar days, the Company and the Union shall meet to attempt to negotiate new contract language to replace the particular c/ause(s), which was invalidated by federal or state legislation.

Section 1.

ARTICLE 26

JURY DUTY

A full-time employee required to be absent from his employment to serve on a jury shall be paid his regular hourly rate of pay for each day of jury service up to a maximum of ten (10) days per contract year. Such absence shall be supported by a statement signed by the

Clerk of the Court certifying as to each day of jury duty. All monies received by the employee as a result of such jury duty shall be endorsed over to the Company. An employee who is subpoenaed or summoned to Court as a witness in a case in which the Company is a party or in which the employee is called concerning information received in official capacity as a Company employee shall receive all benefits and pay and operate under the same conditions as outlined in this Article.

ARTICLE 27

DURATION

This Agreement will be in full force and effect from November 30, 2015 to and including

November 30, 2018, and will continue from year to year thereafter, unless written notice of desire to negotiate changes or revisions or terminate this agreement is served by either party no more than ninety (90) days and at least sixty (60) days prior to the anniversary date hereof, notify the other party of its desire to negotiate a new collective bargaining agreement. The parties shall mutually agree within fifteen (15) days after receipt of such notice for the purpose of negotiating a new agreement.

No agreement, waiver, alteration, understanding, variation or modification of any terms or conditions contained herein shall be made by an employee, or group of employees with the

Company, and in no case shall it be binding upon the parties hereto unless such agreement is made and executed in writing between the parties hereto, and the same has been ratified by the

Union.

IN WITNESS WHEREOF the parties hereto have caused this Agreement to be executed by their authorized representatives, this 24th day of November, 2015.

rnternatlonal Association of Machinists and Aerospace Workers District Lodge 725

LB&B Associates Inc.

Local Lodge 1125 /} ~ ~ ~ '\ ,....,. , c:::' ,-.,\ ~~dJ~~·-, ~ =-e_) \- u ~ ~ -

Business Representative

JS~c, ~ ~Q, Brian Miller

Negotiating Commit e Vicente Quidachay

~l

David P. Van Scoyoc Sr. Vice President & Chief Operating Officer

Al Torrance Vice President Support Services Division

Name

Tom W Diekmann

Arthur N Baker Jr

Leslie M. Seiber

Terrance G Benoit

William F Sargent

Alfredo A Sagon

Robert D Graves

Vincente K Quidachay

James J Disrud

Richard J Welsh

April L Gaviria-Muro

Antonio R Biong

Mark A Owen

Dennis W Caligiuri

Johnny D Golden

Teodulo F Rapa

Jessie D Directo

Kennedy J Lowe

Geovanni Carmonagueits Mark A Delaney

Louis E Gillet Ill

Eric Boyles

Appendix A

Seniority List

Classification

Fuel Distribution System Operator Driver

Cryogenics Sys. Op. (FDSO) Dispatcher

Aircraft Servicer

Driver

Aircraft Servicer

Driver

Dispatcher

Driver

Aircraft Servicer

Driver/Operator Driver

Driver

Driver

Dispatcher

Fuel Distribution System Operator

Fuel Distribution System Operator

Aircraft Servicer

Fuel Distribution System Operator Driver/Operator

Driver

Seniority Date

9/15/1981 8/4/1986…